Upbound Group Reports $1.176 Billion Revenue in Q1 2025, Driven by Acima and Brigit Segments

Upbound Group, Inc. reported a total revenue of $1.176 billion for the first quarter of 2025, marking a 7.3% increase from $1.096 billion in the same period of 2024. The growth was primarily driven by a $75.9 million increase in revenue from the Acima segment, which offers lease-to-own solutions, and the addition of the Brigit segment, which contributed $31.9 million in revenue since its acquisition on January 31, 2025. However, the Rent-A-Center segment experienced a decline of approximately $25 million in revenue, attributed to a decrease in same-store sales and corporate-owned store count.

The company's gross profit rose to $550.1 million, up 4.0% from $529.1 million year-over-year. This increase was supported by the performance of the Acima and Brigit segments, which saw gross profits of $186.5 million and $27.9 million, respectively. Operating profit slightly increased to $62.6 million, a 1.4% rise from $61.8 million in the prior year, despite higher operating expenses driven by legal settlements and transaction costs related to the Brigit acquisition.

In terms of operational metrics, Upbound Group's Acima segment reported a gross merchandise volume of $454.1 million, reflecting an 8.8% increase from the previous year. The Brigit segment, which focuses on financial health technology, reported 1.23 million paying users. The Rent-A-Center segment, however, faced challenges with a 2.0% decline in same-store sales, leading to a decrease in operating profit to $66.4 million from $78.1 million in the prior year.

The company’s balance sheet showed total assets of $3.043 billion as of March 31, 2025, up from $2.650 billion at the end of 2024. This increase was largely due to the acquisition of Brigit, which added significant goodwill and intangible assets. Upbound Group's cash and cash equivalents also rose to $107.3 million, compared to $60.9 million at the end of the previous fiscal year. The company reported a net earnings decline to $24.8 million, down from $27.7 million in the same quarter last year, primarily due to increased income tax expenses and legal accruals.

Looking ahead, Upbound Group remains focused on integrating Brigit into its operations and leveraging its technology-driven financial solutions to enhance customer offerings. The company anticipates that ongoing macroeconomic conditions may impact consumer behavior and operational performance, but it aims to capitalize on growth opportunities within its segments. The board of directors has also declared a quarterly cash dividend of $0.39 per share, reflecting the company's commitment to returning value to shareholders.